Two Common Ratios
- The Four-Firm Concentration Ratio measures the total market share of the four largest firms in an industry.
- The Eight-Firm Concentration Ratio measures the total market share of the eight largest firms in an industry.
Usually, these two common ratios are comparable from industry to industry, while concentration ratios for other numbers of firms can be also calculated.
Read more about this topic: Concentration Ratio
Famous quotes containing the words common and/or ratios:
“The genius of any slave system is found in the dynamics which isolate slaves from each other, obscure the reality of a common condition, and make united rebellion against the oppressor inconceivable.”
—Andrea Dworkin (b. 1946)
“Typography is not only a technology but is in itself a natural resource or staple, like cotton or timber or radio; and, like any staple, it shapes not only private sense ratios but also patterns of communal interdependence.”
—Marshall McLuhan (1911–1980)